The following Value Added Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:
IP COMPLETION DAY: 11pm (GMT) on 31 December 2020 marked the end of the Brexit transition / implementation period entered into following the UK’s withdrawal from the EU. At this point in time, key transitional arrangements came to an end and significant changes began to take effect across the UK’s VAT and customs regime. This document contains guidance on subjects potentially impacted by these changes. Before continuing your research, see the Brexit — overview guidance note.
This guidance note provides and overview of the payments on account regime.
As a result of the coronavirus (COVID-19) pandemic, businesses were able to delay certain VAT payment, see the Coronavirus (COVID-19) and VAT - delaying payments guidance note for more details.
VAT registered businesses that have an annual VAT liability of more than £2.3m are required to make payments on account (POA).
Businesses that are required to make POA make interim payments at the end of months two and three for each VAT return quarter. The interim payment is intended to cover part of the overall VAT liability for the VAT return quarter. The balancing payment for that quarters' VAT liability will be settled when the business submits its VAT return payment.
POA must be made electronically and the cleared funds must be in HMRC's account by close of business on the due date (or on the last working day if that is earlier).
It should be noted that under VATA 1994, s 83 businesses have no right of appeal against being included within the POA regime. However, businesses who come within the scope of the POA scheme can use the alternatives suggested below rather than make POA.
UK VAT registered businesses need to make POA if:
they submit quarterly VAT returns
in any period of 12 months or less the business' total VAT liability was at least £2.3m
When determining whether the threshold has been exceeded HMRC will include the
**Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason.
Access this article and thousands of others like it free for 7 days with a trial of TolleyGuidance.
Read full article
Already a subscriber? Login
Why is this important?In order to get a full basic state pension, an individual must have paid sufficient national insurance contributions (NIC) for a minimum number of qualifying years in their working life. As NIC cannot be paid in the tax year before the individual reaches the age of 16, or in a
This guidance note provides an outline of the main trustee powers and duties. Although there is a degree of overlap between them, the term ‘powers’ usually refers to discretionary or optional actions which the trustees may take for the purpose of maintaining the trust and supporting beneficiaries.
The majority of state benefits (also called social security benefits) are managed by the Department of Work and Pensions (DWP) via the Jobcentre Plus.Some benefits are dependent on a national insurance contribution record (and different classes of national insurance provide different benefit
Class 1 and Class 1AClass 1 and Class 1A are the categories of NIC that can be charged on expenses reimbursed and benefits provided to employees. These classes are mutually exclusive. A benefit cannot be subject to both Class 1 and Class 1A NIC. Three requirements must be met before Class 1A NIC is
To view our latest tax guidance content, sign in to Tolley Guidance or register for a free trial.